2018 House Bill 6498 / Public Act 668

Expand laws that protect new car dealers’ turf

Introduced in the House

Nov. 27, 2018

Introduced by Rep. Brandt Iden (R-61)

To expand the protectionist new car dealer regulatory regime that restricts automakers from making changes to their dealer contracts and networks that would disadvantage current dealers. The bill would add new restrictions and requirements on automakers. Federal laws and regulations enacted when the “Big Three” domestic automakers were getting bailouts in the 2000s reformed some of these protectionist policies, but in 2010 the Michigan legislature passed <a href="https://www.michiganvotes.org/SearchLegislation.aspx?CategoryID=0&Keywords=%E2%80%9Cprotectionist%E2%80%9D+auto+dealer+contract+regulations&StartMonth=1&StartYear=2001&EndMonth=12&EndYear=2018&Results=50&op=Search">several new laws</a> to mitigate the impact of those reforms on Michigan’s incumbent new car dealers.

Referred to the Committee on Regulatory Reform

Dec. 12, 2018

Reported without amendment

With the recommendation that the substitute (H-1) be adopted and that the bill then pass.

Dec. 13, 2018

Amendment offered by Rep. Brandt Iden (R-61)

To revise the definition of "construction" by a new car dealer, which relates to signs and brand elements that are intellectual property belonging to the manufacturer.

The amendment passed by voice vote

Passed in the House 107 to 2 (details)

To expand the protectionist new car dealer regulatory regime that restricts automakers from making changes to their dealer contracts and networks that would disadvantage current dealers. The bill would add new restrictions and requirements on automakers. Federal laws and regulations enacted when the “Big Three” domestic automakers were getting bailouts in the 2000s reformed some of these protectionist policies, but in 2010 the Michigan legislature passed <a href="https://www.michiganvotes.org/SearchLegislation.aspx?CategoryID=0&amp;Keywords=%E2%80%9Cprotectionist%E2%80%9D+auto+dealer+contract+regulations&amp;StartMonth=1&amp;StartYear=2001&amp;EndMonth=12&amp;EndYear=2018&amp;Results=50&amp;op=Search">several new laws</a> to mitigate the impact of those reforms on Michigan’s incumbent new car dealers.

Received in the Senate

Dec. 13, 2018

Referred to the Committee on Regulatory Reform

Dec. 19, 2018

Reported without amendment

With the recommendation that the bill pass.

Passed in the Senate 38 to 0 (details)

To expand the protectionist new car dealer regulatory regime that restricts automakers from making changes to their dealer contracts and networks that would disadvantage current dealers. The bill would add new restrictions and requirements on automakers. Federal laws and regulations enacted when the “Big Three” domestic automakers were getting bailouts in the 2000s reformed some of these protectionist policies, but in 2010 the Michigan legislature passed <a href="https://www.michiganvotes.org/SearchLegislation.aspx?CategoryID=0&amp;Keywords=%E2%80%9Cprotectionist%E2%80%9D+auto+dealer+contract+regulations&amp;StartMonth=1&amp;StartYear=2001&amp;EndMonth=12&amp;EndYear=2018&amp;Results=50&amp;op=Search">several new laws</a> to mitigate the impact of those reforms on Michigan’s incumbent new car dealers.

Signed by Gov. Rick Snyder

Dec. 28, 2018